KaKao

Daum Kakao and KFTC Launches Mobile Wallet Service, BankWalletKakao

                                              

    

[Seoul, South Korea - November 11, 2014] Daum Kakao (co-CEOs Saehoon Choi and Sirgoo Lee), together with the Korea Financial Telecommunications and Clearings Institute (KFTC) (President Jong Hwa Kim) and 16 Korean banks, today launched BankWalletKakao, a new social network based mobile wallet service.

 

Available for both Android and iOS, KakaoTalk users in Korea can link their BankWalletKakao account to up to 25 bank cards and one virtual Bank Money account to manage fund transfers, on/offline payments, and ATM cards through a single mobile app.

 

BankWalletKakao is open to users aged 14 and over with an Internet banking account and a smartphone registered in their own name. Personal authentication is required, so the app does not work with devices registered under corporate accounts and certain MVNO phones. Also, users under the age of 19 can only receive Bank Money funds, a policy put in place to prevent potential abuse by teen bullies.

 

BankWalletKakao’s money transfer and payment features utilize Bank Money, a chargeable virtual account co-operated by the KFTC and 13 domestic banks. Users can select from two Bank Money options: Simplified, where users only need to register their bank account and PIN number after completing smartphone authentication, and NFC, where users need to first register via the BankWallet site (www.bankwallet.co.kr) on their Windows PC before accessing it on their smartphones.

 

BankWalletKakao Offers Greater User Convenience

 

The money transfer process using Bank Money offers greater user convenience compared to most conventional mobile banking options. By leveraging KakaoTalk’s social graph, users can send up to KRW 100,000 (approx. USD 96) with a process that is as easy as sending a message to a KakaoTalk friend—even without knowing the recipient’s bank account number. Such high usability and convenience is expected to help the service attract wide popularity among users for sending/receiving cash gifts and splitting bills.

 

Initially, up to KRW 500,000 (approx. USD 461) can be deposited for use at one time, with a single day limit of KRW 500,000 for receiving funds. Based on user needs and service demands, the limit on funds received will be reassessed in the future.

 

BankWalletKakao users can make on/offline purchases using their Bank Money and Mobile Bank Card. Currently, users can make purchases using Bank Money at online channels including KakaoTalk’s Gift Shop, KakaoPick, Aladdin and Hanssem Mall, and major offline retailers such as CU. E-mart, 7-Eleven and Shinsegae and AK department stores accept Mobile Bank Cards for payment.

 

Mobile Bank Card also allows for easy access to cash withdrawals and fund transfers via smartphones at over 75,000 ATMs featuring “BankWallet” and/or “UbiTouch” stickers.

 

BankWalletKakao Guarantees Top Notch Security

 

BankWalletKakao also offers high-level security through the implementation of multiple measures. User transaction data are encrypted along the entire process so even service operators cannot access the information.

 

Also, all banking activities are conducted only within and through the established security systems of financial institutes. As such, KFTC and the banks oversee user transactions and wallet account management while Daum Kakao provides KakaoTalk, a messaging platform that works in sync with the financial platforms. In order to protect against SMS phishing attacks and related fraudulent activities, transfer notification messages are sent through KakaoTalk featuring image and text-based authentication stamps specific to the messenger.

 

Spokespersons for Daum Kakao and the KFTC said, “BankWalletKakao is a next generation service that combines fund transfers, online payments and ATM cards, and users will be able to experience banking services in a whole new way. We hope BankWalletKakao’s security, convenience and wide availability can lay the foundation for greater innovations in the Korean mobile banking industry.”

 

 

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